Retained Earnings Result From

question 39

Multiple Choice

Retained earnings result from:

• A) the sale of additional shares of stock to investors.
• B) income not paid to shareholders.
• C) an excess of assets over liabilities.
• D) market values that exceed book values.

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Definitions:

Inventory Value

The reported value of a company's goods or materials that have not yet been sold, calculated based on the cost of acquisition or manufacturing.

Cash Balances

Cash Balances are the amount of cash or cash equivalents that a company or an individual holds.

Transactions

The action of buying or selling in a business context, or the records of these actions.

Business Operations

The activities that businesses engage in on a day-to-day basis to increase the value of the enterprise and earn a profit.